Power of Compounding: Can Rs 12,000 monthly SIP investment help create Rs 8.42 cr corpus? See calculations to know how
Power of Compounding: Monthly SIP investment in mutual funds can do wonders in the long run. Consistent investment for 20 years or over can generate a corpus running into crores that can help one achieve many of their financial goals.
Power of Compounding, retirement planning: No monthly investment is small if it is made for a long run. Even small monthly investments can generate a corpus that can help a person accomplish many of their financial goals. Even if one invests Rs 3,000 monthly in a SIP and get 12 per cent annualised return on that, in 20, 25, and 30 years, the investment can help generate Rs 29,97,444, Rs 56,92,905, and Rs 1,05,89,741, respectively, while the maximum investment will be Rs 10,80,000. In investments, duration plays a key role. Power of compounding helps one generate an astronomical corpus in the long run. They just need to start investment early. Know, how Rs 12,000 monthly SIP investment can grow in 12 years 25 years, and 35 years with annualised returns (XIRR) of 12 per cent, 13 per cent, 14 per cent, and 15 per cent.
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Corpus from Rs 12,000 monthly SIP investment in 15 years (at 12% return)
The invested amount in 15 years will be Rs 21,60,000. Estimated capital gains will be Rs 38,94,912, and the estimated corpus will be Rs 60,54,912.
Corpus from Rs 12,000 monthly SIP investment in 15 years (at 13% return)
Estimated capital gains will be Rs 45,08,175, the estimated corpus will be Rs 66,68,175.
Corpus from Rs 12,000 monthly SIP investment in 15 years (at 14% return)
At 14 per cent annualised return, estimated capital gains will be Rs 51,94,245, and the estimated corpus will be Rs 73,54,245.
Corpus from Rs 12,000 monthly SIP investment in 15 years (at 15% return)
The investor will get estimated capital gains of Rs 59,62,357, and the estimated corpus of Rs 81,22,357.
Corpus from Rs 12,000 monthly SIP investment in 25 years (at 12% return)
The total investment in 25 years will be Rs 36,00,000.
The investor will get estimated capital gains of Rs 1,91,71,621, and the estimated corpus of Rs 2,27,71,621.
Corpus from Rs 12,000 monthly SIP investment in 25 years (at 13% return)
Estimated capital gains will be Rs 2,36,57,220, the estimated corpus will be Rs 2,72,57,220.
Corpus from Rs 12,000 monthly SIP investment in 25 years (at 14% return)
At 14 per cent annualised return, estimated capital gains will be Rs 2,91,27,333, and the estimated corpus will be Rs 3,27,27,333.
Corpus from Rs 12,000 monthly SIP investment in 25 years (at 15% return)
Estimated capital gains will be Rs 3,58,08,885, and the estimated corpus will be Rs 3,94,08,885.
Corpus from Rs 12,000 monthly SIP investment in 35 years (at 12% return)
In 30 years, the total invested amount will be Rs 43,20,000, estimated capital gains will be Rs 3,80,38,965, and the estimated corpus will be Rs 3,80,38,965.
Corpus from Rs 12,000 monthly SIP investment in 35 years (at 13% return)
If one gets 13 per cent annualised return, estimated capital gains will be Rs 4,87,27,762, and the estimated corpus will be Rs 5,30,47,762.
Corpus from Rs 12,000 monthly SIP investment in 35 years (at 14% return)
At 14 per cent annualised returns, estimated capital gains will be Rs 6,23,64,668, and the estimated corpus will be Rs 6,66,84,668.
Corpus from Rs 12,000 monthly SIP investment in 35 years (at 15% return)
If one gets 15 per cent annualised return, their estimated capital gains will be Rs 7,97,97,847, and the estimated corpus will be Rs 8,41,17,847.